[Section 194A]- Interest other than Interest on Securities

 

Table of Contents

·         1.   Who is liable to Deduct Tax from Interest other than Interest on Securities:

o    Person responsible for TDS:

·         2.   When TDS is to be Deducted from Interest other than Interest on Securities:

o    Tax not to be deducted at source in respect of the provision for interest accrued but not due:

·         3.   TDS U/s 194A of the Act on interest on Fixed Deposit made on directions of Courts

·         4.   [Section 194A(4)]- Adjustment in the amount of TDS:

·         5.   [Section 194A (3)]- Where No Tax is to be Deducted at Source.

o    (A)   When interest paid or credited does not exceed Rs. 40,000 / Rs. 50,000 / Rs. 5,000

o    (B) Where such interest is paid to certain specified persons

o    (C)   Where a Self-declaration under Form No. 15G/15H is furnished by a particular person [Section 197A(1A). (1B) and (1C)]:

o    (D) No TDS by the Offshore Banking Unit [Section 197A(1D)]

o    (E)   [Section 197A(1E)]- Any payment made to New Pension Scheme Trust:

o    (F)   [Section 197A(1F)]- No deduction of Tax from Specified payment to Notified institutions, association or body, etc.:

o    (G) Certain entities required to file return under section 139(4A) or 139(4C) [Rule 28AB]:

o    (H) Certain entities whose income is unconditionally exempt under section 10:

·         6.   Where the TDS either not to be deducted or to be deducted at Lower Rate [Section 197 Rule 28 and 28AA]

·         7.   Rate of TDS for Financial Year 2019-20 and 2020-21

 


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